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Tax - E Hand Book

Total questions: 10

Worksheet time: 8mins

Name
Class
Date
1.

Identify the eligible relation for Tax Deduction under 80C

a)

Spouse

b)

Children

c)

Father for Married Daughter

d)

All the relation

2.

Identify Correct Statement

a)

Grandfather can pay premium for Grandson and get tax benefit U/S 80C

b)

Uncle can pay premium for Niece or Nephew and get tax benefit U/S 80C

c)

Premium paid by any other blood relative and claim tax benefit U/S 80C

d)

No One

3.

Maximum Limit for Tax Deduction u/s 80C & 80D


{for Self and Spouse (both less than 60

years) and dependent children}

a)

150000 & 25000

b)

250000 & 100000

c)

50000 & 35000

d)

500000 & 75000

4.

Findout Correct Statement

a)

TDS gets deducted if annual premium exceeds 20% of death sum assured during the policy term

b)

TDS gets deducted if annual premium exceeds 15% of death sum assured during the policy term

c)

TDS gets deducted if annual premium exceeds 10% of death sum assured during the policy term

d)

According to Sec 10/10(D) " NO TDS Applicable"

5.

Findout Correct Statement

In the case where TDS applicable At the time of maturity

:

a)

TDS deducted 5% on total maturity amount

b)

TDS deducted @5% on : {Total maturity amount - Premium paid}

c)

TDS@5%* will be deducted from income portion comprised in the policy payout

d)

TDS applies according to individual's Tax liability

6.

Tax Deducted at 20% if ________________

a)

PAN not proviede by policy holder

b)

it is case of Business Insurance

c)

it is Single Premium policy

d)

Income Proof is not provided at inception of policy

7.

When are the policy proceeds exempted U/S 10 (10D) of income tax act 1961 ?

a)

Policy is a retail insurance policy and not a business insurance policy

b)

Policy is a life insurance policy (term/savings/unit linked plan)

c)

Death Sum Assured is 10 times or more of the Annual Premium through out the policy term

d)

All these cases

8.

What happen if annual premium exceeds 10% of the Death Sum Assured : Find Correct Statement

a)

Deduction u/s 80C for annual premiums paid will be available up to 10% of death sum assured

b)

Section 10(10D) exemption will not be available and hence income portion under the policy becomes taxable

c)

TDS@5%* will be deducted from income portion comprised in the policy payout

d)

All are Correct

9.

Can TDC credited be claimed by the ploicy holder ?

a)

Credit for TDS can be claimed based on the TDS certicate while fling income taxturn

b)

No - Poliocy Holder cannot claim TDS

10.

Death policy proceeds always exempt irrespective of whether or not annual premium exceeds 10% of the death sum assured (Individial Policy Holder)

a)

TRUE

b)

FALSE